A Bold Proposal for Bitcoin Sovereignty
The Philippines has introduced a groundbreaking measure that could make it one of the first Asian nations to legislate a sovereign Bitcoin reserve. House Bill 421, formally called the Strategic Bitcoin Reserve Act, directs the central bank to purchase 10,000 BTC over five years and hold it under a 20-year lockup period.
Congressman Miguel Luis Villafuerte, the bill’s sponsor, argued that the “increasing significance of Bitcoin in ensuring financial and economic prowess” makes it vital for the Philippines to act. The law would mandate annual purchases of 2,000 BTC, with the assets only allowed to be sold to pay government debt after the lockup expires.
Learning From Global Examples
This move would align the Philippines with countries like Bhutan, which has quietly accumulated Bitcoin and Ethereum through hydropower mining, and Pakistan, which announced plans for its own sovereign reserve. Unlike Germany and the U.S., which mainly hold Bitcoin from law enforcement seizures, the Philippines would explicitly commit to buying Bitcoin on schedule.
Crypto pioneer Miguel Antonio Cuneta, co-founder of Satoshi Citadel Industries, called it “an asymmetric bet in the upside for the Philippines.
Voices of Support and Skepticism
While many in the crypto community have praised the initiative, others doubt it will pass. Luis Buenaventura, head of crypto at GCash, admitted: “Although I don't believe the proposal will actually be passed, I'm hopeful that local corporations will…begin their own journeys towards incorporating Bitcoin into their respective balance sheets.”
Still, Buenaventura noted that the proposal puts “a spotlight on Bitcoin and its growing role in treasuries around the world,” and could even push law enforcement agencies to better manage confiscated digital assets.
Treating Bitcoin Like Digital Gold
For supporters, the proposal isn’t just about diversification — it’s about reimagining national reserves. Paul Soliman, CEO of BayaniChain, said: “It treats Bitcoin the way it was meant to be, long-term, censorship-resistant, and a true store of value like digital gold.”
He emphasized that unlike traditional reserves, a Bitcoin treasury would be fully auditable if wallet addresses were disclosed.
Risks, Rewards, and the Road Ahead
Of course, risks remain. Critics point to volatility, the use of taxpayer funds, and the nation’s financial literacy gap. But advocates believe these challenges can be mitigated with clear governance, smart acquisition strategies, and education investments.
